Bankruptcy Law

Madoff Trustee Settles Litigation with So-Called Feeder Fund


The trustee liquidating Bernie Madoff’s firm agreed to not pursue $212 million from two bankrupt funds related to the Fairfield Greenwich Group, the biggest so-called feeder fund in the alleged Ponzi scheme, Bloomberg News reports.

As part of the settlement with the trustee, both funds reduced their claims against the Madoff bankruptcy estate.

“The agreements greatly further the interests of the customers” of Madoff, trustee Irving Picard wrote in a filing today in the Southern District of New York U.S. Bankruptcy Court.

Picard, a Baker & Hostetler partner, earlier this month dropped efforts to collect $3.8 billion from three offshore Fairfield funds that allegedly withdrew from the Madoff firm, Bloomberg News reports. Like the more recent agreement, the offshore fund agreed to drop its claims on the Madoff estate.

Previous:
Michigan Public Defender System One of the Worst, ACLU Says

Next:
ABA Tells Congress the Immigration System Is in Crisis, Needs More Resources


We welcome your comments, but please adhere to our comment policy. Flag comment for moderator.

Commenting is not available in this channel entry.